model disclosure for general approach ifrs 9

​Creating a model disclosure for the general approach under IFRS 9 involves outlining the key elements that a company would typically include in its financial statements. This model is indicative and should be adapted based on the specific circumstances and financial instruments of the reporting entity. Here's a simplified example of what such a disclosure might look like:

**Note X: Financial Instruments - IFRS 9 General Approach**

1. **Basis of Classification and Measurement of Financial Instruments**:

   - Financial assets are classified and measured at amortized cost, fair value through other comprehensive income (FVOCI), or fair value through profit or loss (FVTPL) based on the business model for managing the assets and their contractual cash flow characteristics.

   - Financial liabilities are measured at amortized cost or FVTPL, depending on whether they are held for trading or are designated as such.

2. **Financial Instruments by Category**:

   - The carrying amounts of financial assets and liabilities in each IFRS 9 category are as follows:

     - Financial assets at amortized cost: $[amount].

     - Financial assets at FVOCI: R[amount].

     - Financial assets at FVTPL: R[amount].

     - Financial liabilities at amortized cost: R[amount].

     - Financial liabilities at FVTPL: R[amount].

3. **Credit Risk Management and Impairment**:

   - The company assesses on a forward-looking basis the expected credit losses (ECL) associated with its debt instruments held at amortized cost and FVOCI.

   - The ECL is measured on either a 12-month or lifetime basis, depending on whether there has been a significant increase in credit risk since initial recognition.

   - [Insert specific information about the company's approach to monitoring and managing credit risk, including any credit risk models used.]

4. **Loss Allowances for Expected Credit Losses**:

   - A reconciliation of the opening and closing balances of the loss allowance for financial assets:

     - Opening balance: $[amount].

     - Financial assets written off: $[amount].

     - Financial assets recovered: $[amount].

     - Changes due to amounts charged to profit or loss: $[amount].

     - Closing balance: R[amount].

5. **Significant Judgments and Estimates**:

   - [Detail the significant judgments and assumptions made in applying IFRS 9, including how the ECL is calculated, the determination of significant increases in credit risk, and the choice of inputs and models.]

6. **Risk Exposure and Concentrations**:

   - [Describe the nature and extent of risks arising from financial instruments, including exposure to credit risk, liquidity risk, and market risk. Include information on how these risks are managed.]

This model is a basic framework and would need to be expanded with detailed and specific information reflecting the entity's actual financial instruments, risk exposure, management strategies, and the methodologies used in calculating ECL. The level of detail and complexity of the disclosure would depend on the size of the entity, the complexity of its financial instruments, and the nature of its operations.